It seems to be dawning on some voters and political players that if housing is to be made affordable for young Australians, the price of land must fall.

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A large constituency of older voters see their house as their major asset and do not want this.

Many are worried about whether younger generations can aspire to own houses. That's in principle, of course, as is the wish that economic conditions change so that younger Australians can get a foothold in the market. But they are not keen on seeing this occurring at their family's expense.

Excuse thus some moments of panic as house prices slow, steady and begin to fall. It's already happening in the major markets, and some predict falls of up to 10 per cent from recent peaks. That is still well more than price inflation over recent decades.

But though wealthier Australians have been quite resistant to being taxed on capital gains until they are realised, they have counted on appreciation, in many cases of more than $1 million, and, as a primary dwelling, free from capital gains tax. They have decided, moreover, that they want to die with that house value and their superannuation largely intact rather than exhausted, so that they can pass it on to their descendants.

They may have helped subsidise their children's access to the housing market but will not be happy if they come to see a loss of, say $100,000 in land value as a disinterested contribution to younger Australians in general.

Older Australians will be encouraged by some politicians to see falling prices as a wider grab for their income and assets. Such campaigns will encourage them to see political parties purporting to speak for younger Australians as the enemy. Wealth in Australia is overwhelmingly concentrated among the old, and not only because of housing assets.

As Baby Boomers are starting to die, a major generational shift in this wealth is beginning, but alas, it may not have a big impact on access to the housing market for younger Australians. This is because much of the wealth will be moving to the children of the Boomers - many already approaching retirement age - rather than grandchildren starting to form families and seek mortgages.

Right now, falls or signs of a steadying market are not yet because of new power in younger investors. They reflect uncertainty and a lack of confidence. Signs that the market was past its peak have encouraged many who were thinking of selling to cash out now, even as others have been reluctant to enter the market until they see what is happening. The biggest problem remains that industry is not turning out enough dwellings to satisfy demand.

Who's going to build new houses?

That's first a problem of labour supply, but also, some insist, a problem of bureaucracy, delay and planning rules. Treating the consequences of years of inaction as a crisis has armed many of the players with what they consider to be a mandate for radical change.

Or they can only think of one thing at a time - build more houses. At risk is a focus on building sustainably and for a changing climate, and we end up with whole suburbs of houses with black roofs that will prove to be heat sinks for their residents.

Politicians might be giving themselves permission to fundamentally change the amenity of communities, to ignore old rules said to stand in the way of progress, and to drop much focus on integrated transport solutions, upgrading of water and sewage services and the........

© Canberra Times